We are living in 21st century where modernization has become an integral part of our life. Still, people are much more connected to the natural beauty of the environment. For the same reason, trading of flowers is a sound commodity for business investment. Dubai Flower Centre (DFC) is the one among such innovative platforms to invest in if you are looking for such kind of trade. Here, you will find the best networks and business environment for the international trading of flowers and perishables. It is well equipped for the imports and exports of flower at all times.
DFC is currently the newest hub of growth for floriculture industry. It has been designed to meet the needs to provide innovative logistics and commercial solutions to enable the industry to reduce transit times, improve quality, and grow profits. At the moment, DFC is capable of handling up to 150,000 tons of flowers and other perishables. The centre is fully developed and automated phase has a floor area of about 100,000 sq meters which provides chamber of exports and offices apart from product break down and buildup stations and automated sorting areas.
Let us now understand what exactly DFC provides to its investors.
Services Provided by Dubai Flower Centre Free Zone
- The free zone is developed as trans-shipment nerve centre with global connections daily. The process is developed and designed to make sure rapid transit times
- Offers divergent range of work and varieties of foliage, vegetables, flowers, fruits, and plants
- Facilities that support and allow dynamic commercial transactions
- Cost effective value addition
Business Activities in Dubai Flower Centre Free Zone
Before getting into the niche of the DFC market, understand the activities available in DFC. They are as follows,
Legal Entities- Dubai Flower Centre
Anyone who wants to start a business in DFC must decide on the corporate structure for their business. To give you the basic idea, here are the legal entities in DFC, you must know of.
·Free Zone Establishment (FZE)
It is a limited liability establishment incorporated in DFC. It can be owned by one natural or juridical person with a distinct legal entity and an independent financial liability. The minimum capital required is AED 1,000,000.
·Free Zone Company (FZC)
It is a limited liability establishment incorporated in DFC. It can be started by more than one shareholder with a distinct legal entity and an independent financial liability. Minimum two and maximum five shareholders are required in this FZ. Share capital required is AED 500,000.
·Branch of a Company
A company established outside the UAE can have its branch in DFC.
Benefits of Setting up a Business in DFC
- 100% corporate and personal income tax exemption
- 100% import and export tax exemption
- 100% foreign company ownership
- 100% repatriation of profits and capital
- No currency restriction
- Facilities and support to enable efficient commercial transactions
Procedure to Establish a Business in Dubai Flower Centre
Looking for starting a business in this free zone? Don’t worry; our company formation guide will help you get more clarity about laws and procedures conducted in DFC Free Zone. Keep reading to know the procedure.
A step-by-step process to set up a company in DFC is as follows:
- The first step that you must follow is filling up an application form for an initial approval. Attach the following documents with it,
- Completed Dubai Flower Centre Application Form
- A brochure of the company (if available)
- The company’s annual financial report for the last three years
- Business Plan
- Once the application is received by the DFC free zone authorities, they will review the background, proposed business activities, space and service requirement etc. After the authentication is done, DFC will issue a preliminary letter of approval within 30 days of having received an application, unless additional information is required by the authorities
- After the provisional letter is received, an MoU is drafted by the DFC outlining the basic requirements of operating in the Free Zone. It will act as a preliminary agreement between DFC and applicant companies. The MoU must be signed by both the parties
- The next important step is submitting the necessary documents which must be sent within 30 days of receiving the preliminary approval to ensure reservation of office/warehouse space and registration of the proposed entity
- Once the documents are received by the authorities, it is the time to review them. Once the documents are reviewed a final approval letter will be forwarded to the applicant within two weeks along with the lease agreements and an invoice covering the Trade License Registration Fee and first years’ rental. If submitted documents are incomplete, the application will be put on hold and a letter to this effect will be issued
- The applicant must then fax back the acceptance letter within one week to the DFC
- Finally, the applicant must appoint a director who will act an authorized signatory to sign the lease agreement and collect the trade license. Payment of the invoice covering the trade license registration fee and first year’s rental must be received prior to or in parallel with Step 6. This should occur within one month of acceptance of the final approval Letter
Dubai Flower Centre (DFC) can also be a one stop destination for travelers and tourist interested in buying flowers for their loved ones. Everything here is well wrapped and covered in a presentable manner. Among the well known companies in Dubai Flower Centre are Allisar flowers, Shirin flowers and Ceylinco Foliage Export Ltd just to mention a few.
Now that you have read through each step of starting a business in DFC, you might have gotten a clear idea of the procedure that is followed in this free zone. To give you the push that you need, we at Business Setup Worldwide offer consultation on starting a business in the UAE. You can contact us any day to get more information on anything and everything related to business setup services in the UAE.